Hawaii Fires Hit Regional Bank Already Rocked by Turmoil (1)

Hawaii’s biggest utility has lost half its market value in the wake of deadly wildfires on Maui that might expose it to massive liability costs. The catastrophe adds to financial pressure already weighing on one of its key units.

Hawaiian Electric Industries Inc. owns and operates American Savings Bank FSB, which has been grappling with this year’s turmoil in the regional-banking industry. Worse-than-expected results from the company’s banking division, which generates about 25% of operating income, led Hawaiian Electric to cut its earnings-per-share forecast for this year to $2.00 to $2.10, down from the $2.15 to $2.35 range it ...